From The Perspective Of Free Cash Flow Company Intrinsic Value Evaluation

The financial accounting system follows the accrual basis account, so it’s easier for people to use financial means to operate business profits, from whtch we have learnt lots of accountant fraud, so the listed company’s value system that is based on net profit data have some defects. This article will introduce a source in the west which has been developed to assess the value system:free cash flow model.The united states companies are required to disclose the the data in financial reports. It has prominent advantages to help people understand the value of the enterprise.